BREAKING NEWS – Corporate Transparency Act on Hold
as of Monday, March 3, 2024
On Friday March 1, 2024, the U.S. District Court for the District of Alabama declared the Corporate Transparency Act (CTA) unconstitutional. In the case of National Small Business Association v. Yellen (Case No. 5:22-cv-01448) [1], initiated by the National Small Business United, the challenge was against the CTA’s mandate for small businesses to disclose their beneficial owners to the Financial Crimes Enforcement Network (FinCEN).
The ruling has the effect of suspending all BOI filing requirements for now, all enforcement actions, and all compliance concerns including questions of “practicing law without a license.” Experts believe the ruling will be appealed, probably to the Supreme Court, so this is a temporary filing requirement suspension until a final appeal is exhausted. Voluntary filing appears to still be allowed if for some reason a client desires to file.
April 18th IRS Filing Deadline
The general filing and payment deadline for 2022 federal tax returns is Tuesday, April 18, 2023.
If you live in a region covered by a federal disaster declaration, you may have additional time to file your return and pay any tax due. The IRS has extended the deadline for residents of certain counties in Alabama and Georgia affected by severe storms, along with many areas of California, to October 16, 2023. The IRS disaster relief webpage (link below) lists all counties and regions that have been granted extended deadlines.
The October 16 extended deadline also applies to 2022 fourth-quarter estimated tax payments, which were originally due on January 17, 2023. In addition, eligible taxpayers will have until October 16 to make their 2022 HSA or IRA contributions.
IRS Disaster Relief Page: https://www.irs.gov/newsroom/tax-relief-in-disaster-situations